Mumbai: Market benchmark BSE Sensex sprang back from early losses to close at a new lifetime high of 37,606.58 on Tuesday on late buying in RIL, HUL, Infosys and Hero MotoCorp, continuing its record run for the seventh straight day.

The broad-based NSE Nifty also continued its record-smashing streak for the fourth day by gaining 36.95 points or 0.33 percent to settle at a fresh all-time high of 11,356.50.

The 30-share Sensex closed at 37,606.58 points, up by 112.18 points, or 0.30 percent, breaking its previous closing record of 37,494.40 hit on Monday.

Stock markets traded in the negative for the most part of the session due to profit booking amid mixed trends in Asian markets after overnight losses on Wall Street.

Investors were cautious ahead of the RBI policy outcome, scheduled tomorrow, and preferred to book profits at record levels, brokers said.

However, a recovery in rupee, buying by domestic institutional investors, encouraging earnings by select blue-chips and stock specific buying helped the market get back on its feet, brokers said.

Representational image. Reuters.

Vinod Nair, Head of Research, Geojit Financial Services Ltd said, "Caution ahead of tomorrow's RBI & US FED policy led the indices to start on a weak note. However, strength in earnings supported the market to reverse from day's low and ended up with a gain."

Reliance Industries was the top gainer by climbing 3.14 percent to close at record Rs 1,185.85 on BSE. RIL also regained its status as the country's most valued firm by market capitalisation, replacing Tata Group's TCS from the top slot.

Heromotocorp rose by 2.77 percent followed by HUL that rose 2.52 percent.

Shares of IT services firm Tech Mahindra ended higher 3.93 percent to emerge as top gainer among Nifty stocks after the company today reported 12.4 percent rise in consolidated net profit for the first quarter ended June 2018.

In contrast, Axis Bank fall the most 3,23 percent after the private lender reported a 46 percent drop in net profit for April-June quarter.

ICICI Bank fell more than 1 percent after it said that provisions are expected to remain elevated in FY2019.